MANILA – The Philippine Amusement and Gaming Corp. (PAGCOR) is implementing stricter regulations and accelerating its privatization plans to fortify the nation's gaming industry against increasing competition, particularly from Thailand's potential legalization of gambling. PAGCOR Chairperson and CEO Alejandro Tengco acknowledged that Thailand's move poses a significant challenge to the Philippines, currently Asia's second-largest gaming destination after Macao.
During a recent briefing, Tengco highlighted the growing regional landscape. "Thailand is seriously considering the licensing of casinos, both land-based and online gambling. Japan is also opening a casino," he stated. He emphasized Thailand's substantial advantage in tourist arrivals, making their potential entry into the gaming market a formidable threat.
"That's why I said we should fix this because competition is arriving; it would be good if we are ahead of the competition," Tengco explained.
To maintain its competitive edge, PAGCOR is intensifying its regulatory oversight, urging lessors to upgrade outdated casino facilities, and deploying nearly 2,000 new slot machines. Furthermore, Tengco reiterated PAGCOR's commitment to transitioning solely to a regulatory role, thereby eliminating any perceived conflicts of interest.
"By decoupling, we will be able to show the world that we are fair, that there is no conflict of interest," he asserted.
PAGCOR intends to commence the privatization of its more than 40 owned and operated casinos by next year. This strategic move aims to enhance efficiency, attract private investment, and ensure the long-term sustainability of the Philippine gaming sector in the face of evolving regional dynamics. The Philippine gaming industry recorded a record high of PHP410.5 billion in revenues last year, and PAGCOR is determined to maintain this momentum by proactively addressing the challenges posed by emerging competitors.
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